So my upcoming trip to Vancouver has me thinking about credit cards and travel.
I've heard of people using credit card reward points from regular spending to take a free or drastically reduced cost trip once a year or so. This idea is appealing to me, as I travel for conferences 1-2x a year (this year is Vancouver, next year there are conferences in San Fran and Hawaii). If a card had enough rewards to shave a few hundred dollars off the cost of each trip, it seems like it would be worth it.
So my first question is, do any of you do something along those lines? If so, what cards do you use and what are the benefits?
I have a few reservations about this. Namely, would it be difficult for someone who isn't a huge spender to build up that many points? And would the benefits of the card outweigh those of a regular cash back card? I have a Discovercard that gives me 1% cash back on everything and 5% in certain categories that change every few months. I'm thinking of getting another card anyway because Discovercard has some drawbacks (like limited use outside the U.S.), but I'm wondering if something with a travel points system would be better than something with a regular cash back system, since I know I have to travel once or twice a year anyway?
Also, how do you all feel about annual fees? I've noticed, for example, that AE Blue Cash has two levels of cards- one with an annual fee and one without. The one with the fee has higher cash back in certain categories. In your experience, would you prefer a card with no fee and less rewards, or a $75-95 fee and better rewards? Of course, I'm sure to some extent that depends on your spending and whether your rewards would outweigh the fee.
So basically, any general thoughts on credit cards and rewards system, and which are the best card options out there today? Especially for someone who travels a small-to-moderate amount.